Rolling Optics (RO) AI Stock Analysis

• Market Cap: kr59.99M
• Dividend Yield: N/A
• Average Volume (3M): 14.62K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.46
• Revenue Growth: -0.73%
• EPS Growth: -136.62%
• Country: SE
• Employees: 18
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.02
• Shares Outstanding: 266,636,930
• 10 Day Avg. Volume: 8,681
• 30 Day Avg. Volume: 14,620
• PEG Ratio: -0.02
• Price to Book (P/B): 0.94
• Price to Sales (P/S): 1.57
• P/FCF Ratio: -1.72
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: kr0.22 ▼(-12.80% Downside)
• Action: Reiterated Date: 03/14/26
• Date: Action: Reiterated 03/14/26

The score is primarily held down by weak financial performance—ongoing losses and sharply higher 2025 cash burn—despite a low financial-risk balance sheet with no debt. Technicals add a modest drag due to the stock trading below key longer-term moving averages, while valuation is constrained by negative earnings and no dividend support.

Positive Factors

Debt-free balance sheet

A debt-free capital structure and substantial equity relative to assets materially reduce financial risk and extend runway. This cushion allows management to fund operations or strategic initiatives without immediate refinancing pressure, preserving optionality while losses are addressed.

High gross margins

Sustained ~75% gross margins indicate attractive unit economics and pricing power in the core product line. Strong gross margins provide structural ability to invest in R&D and sales, and if operating expenses are managed, can translate into durable operating leverage as scale improves.

Multi-year revenue growth

Material revenue growth over the multi-year period signals market traction and product adoption. Persistent top-line expansion supports scale economics and validates addressable demand, giving the company a foundation to improve margins and amortize fixed costs over time.

Negative Factors

Worsening cash burn

Sharp deterioration in operating and free cash flow indicates materially higher ongoing funding needs. Persistent negative cash generation undermines self-funding, increases reliance on external capital, and heightens dilution or liquidity risk if revenues or margins do not improve.

Persistent and widening losses

Consistent negative EBIT and a sharply wider net loss in 2025 show profitability remains elusive. Continued losses erode capital, constrain reinvestment, and mean management must either materially cut costs or access funding to sustain operations, limiting strategic flexibility.

Erosion of equity / negative returns

Declining shareholder equity and negative ROE reflect that cumulative losses are eroding the balance-sheet cushion. This reduces resilience to shocks, limits borrowing or investment capacity, and raises the probability that future financing will be more dilutive or costly.

Rolling Optics Business Overview & Revenue Model

Company Description

Rolling Optics Holding AB (publ) develops, designs, produces, and sells products in visual authentication based on in-house developed and patented technology in micro-optics. The company was founded in 2005 and is based in Solna, Sweden.

Rolling Optics Financial Statement Overview

Summary

Despite strong gross profit and a debt-free balance sheet, results are persistently loss-making with a sharply wider 2025 net loss and materially deteriorating cash burn (operating cash flow and free cash flow both significantly more negative in 2025).

Income Statement

Revenue has grown materially versus 2022 (SEK 20.7m to SEK 39.8m in 2025), showing demand traction, and gross profit remains strong (SEK 28.0m in 2025; ~75% gross margin in 2024). However, profitability is the key drag: operating results are consistently loss-making (EBIT negative every year), and losses widened sharply in 2025 (net loss SEK 23.5m vs. SEK 9.3m in 2024) alongside a slight revenue decline (2025 revenue growth -4.3%). Overall, strong gross economics but an unstable and worsening earnings profile.

Balance Sheet

The balance sheet appears conservative with zero debt in 2024 and 2025 (down from SEK 16.0m in 2022), which meaningfully reduces financial risk. Equity remains sizable (SEK 67.0m in 2025) relative to the company’s asset base (SEK 96.6m in 2025), providing cushion despite ongoing losses. The main weakness is continued negative returns to shareholders (return on equity negative in all years provided), and equity has trended down since 2022, indicating the losses are eroding capital over time.

Cash Flow

Cash generation is weak and volatile. Operating cash flow is negative across the period and deteriorated sharply in 2025 (SEK -27.0m vs. SEK -2.2m in 2024), indicating higher cash burn. Free cash flow is also consistently negative (SEK -36.4m in 2025; SEK -11.1m in 2024), implying the business is not self-funding and may require ongoing liquidity support. A positive point is that in 2023–2024 free cash flow was less negative than net income, but 2025 reverses that improvement materially.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	39.85M	39.56M	32.82M	20.67M	26.87M
Gross Profit	28.00M	29.61M	16.89M	14.44M	18.45M
EBITDA	-16.29M	-3.73M	-4.98M	-11.71M	-11.07M
Net Income	-23.50M	-9.29M	-9.51M	-14.25M	-13.29M
Balance Sheet
Total Assets	96.59M	109.21M	105.18M	146.95M	139.35M
Cash, Cash Equivalents and Short-Term Investments	18.81M	36.02M	38.53M	86.03M	46.13M
Total Debt	0.00	0.00	0.00	15.99M	11.11M
Total Liabilities	29.62M	37.21M	32.76M	47.52M	43.63M
Stockholders Equity	66.97M	72.00M	72.42M	99.42M	95.71M
Cash Flow
Free Cash Flow	-36.39M	-11.07M	-14.08M	-26.55M	-30.25M
Operating Cash Flow	-27.03M	-2.25M	-5.89M	-10.69M	-13.15M
Investing Cash Flow	-9.35M	-8.82M	35.18M	-15.40M	-15.49M
Financing Cash Flow	19.18M	8.56M	-33.42M	22.60M	4.83M

Rolling Optics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:RO, the sentiment is Negative. The current price of 0.25 is above the 20-day moving average (MA) of 0.23, above the 50-day MA of 0.24, and below the 200-day MA of 0.69, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 47.12 is Neutral, neither overbought nor oversold. The STOCH value of 13.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:RO.

Rolling Optics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
GPX	50 Neutral	kr78.38M	-9.07	―	―	-15.54%	-263.54%
FING.B	47 Neutral	kr62.13M	-2.20	-37.93%	―	-82.93%	94.83%
ACCON	47 Neutral	kr784.26M	-42.57	-9.00%	―	-1.32%	51.89%
RO	44 Neutral	kr59.99M	-2.39	-26.75%	―	-0.73%	-136.62%
INSP	41 Neutral	kr5.09M	-0.29	-153.88%	―	-0.75%	65.47%